SUPPORT FOR MR FORBES

Hokitika Guardian, 15 January 1932, Page 3

SUPPORT FOR MR FORBES

PR IMARY PRODUCER S’ ASSURANCE.

NEED FOlt REDUCTION OF COSTS

WELLINGTON, January lb. • An assurance that tile Government' 1 ' had the complete support of all sections of the primary producers in its efforts to meet the present economic depression vas given to the Prime Minister ito-day by Mr J>. Jones, formerly Minister for Arieulture, when a deputation waited upon the Cabinet to seek the removal of the restrictions upon exchange rates. i

Mr Jones said thaifc a conference representative 'of the primary producing interests, which had been held in Wellington that day, desired him to convey to the Prime' Minister its congratulations' upon being returned to office, with the endorsement of tne country, to carry out its proposals made at the time of the General Election. It was felt when ei’nment went to the country that it was essential that costs should be reduced to a level at which the Dominion could compete with her products on the open market of the I world. The Government Statistician showed that with the index figure as 1000, cosits were to-day at 1500, whereas the price of our products was only 787. These two figures showed clearly that until the two were brought fairly close together it would be impossible for the farmers of the Dominion to compete in the world’s markets. The conference was wholeheartedly with the 'Government in. its determination to bring costs down, and to bring them within reach of the primary producers’ capacity. It was necessary,- said .-Mr Jones, to emphasise the serious position of the farmer, and the Government was fully familiar with the situation. However, the position was more serious' than it was last year, because a number of farmers who had been operating on reserves did not have them to call itpon this year. They were unanimously of the opinion that unless something were done to assist the farmer, the primary producing section of the country was not far from serious collapse. One hesitated to make sucfi remarks, for they were drastic. However, the position had been made clear around the conference table that day, and lie had been asked to put c tlio position before the Government with a request for immediate action.